- American Tower‘s 4Q adjusted Ebitda margin was 63%, slightly missing the estimate of 63.4%.
- The company’s revenue was $2.79 billion, marking a 3% increase year on year, and beating the estimate of $2.74 billion.
- Revenue from the US and Canada was $1.30 billion, a 1.7% increase year on year, matching the estimate of $1.3 billion.
- International revenue was $1.25 billion, a 6.9% increase year on year, and surpassing the estimate of $1.21 billion.
- The year forecast for adjusted Ebitda is between $7.08 billion to $7.19 billion, with an estimate of $7.14 billion.
- The forecast for AFFO is between $4.78 billion to $4.89 billion.
- Looking ahead to 2024 and beyond, American Tower expects technology evolutions such as 5G, AI and the need for more distributed compute workloads to drive demand for their communications infrastructure assets.
- The company emphasizes cost discipline and strong margin expansion and cash flow growth, despite a challenging macroeconomic environment.
- Through various balance sheet initiatives, American Tower has strengthened its financial position by reducing net leverage, optimizing floating rate debt exposure, and extending maturities.
- The company is focused on leveraging its global scale, operating model and investment-grade balance sheet to deliver increasing shareholder returns, sustainable growth and a unique value proposition for all stakeholders.
- There are 19 buys, 5 holds, and 0 sells for the company’s stock.
A look at American Tower Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
American Tower Corp. is a real estate investment trust that specializes in owning, operating, and developing wireless communications and broadcast towers in the United States. The company has received a strong overall outlook score of 3 out of 5 on the Smartkarma Smart Scores, indicating a positive long-term outlook.
While the company’s value and resilience scores are on the lower end at 2 out of 5, its dividend, growth, and momentum scores are all at a solid 3 or 5. This suggests that American Tower is a stable and growing company that is performing well in the market. Its strong momentum score also indicates that the company is gaining traction and is likely to continue its positive trend in the future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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